views or policies of the Asian Development Bank Institute (ADBI), the Asian Development
Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any
consequences of their use. Terminology used may not necessarily be consistent with ADB official terms.
2
CA Economies’ Energy Profiles
3
CA Economies’ Energy Profiles
• Hydrocarbon resources are significant in Kazakhstan (oil; main importer - EU) and Turkmenistan
(natural gas; main importer – China). Both are actively pursuing the options for export diversification.
• Very poor in fossil fuels, Kyrgyzstan and especially Tajikistan are enormously endowed by hydro
resources.
• However, both Kyrgyzstan and, especially, Tajikistan suffer from shortage of electricity in winter and
surplus of it in summer. Obstacles to intra-regional cooperation originate in water disputes with
energy-rich downstream Turkmenistan, Uzbekistan and Kazakhstan, which need irrigation water in
summer for their agriculture.
• Unsettles cross-border relations between Uzbekistan and Kyrgyzstan and Uzbekistan and Tajikistan
also affect energy security. Owing to Uzbekistan’s changed attitude towards bilateral border issues,
the prospects for regional cooperation have been improving since 2017.
• Energy-water-food and border tensions facilitated disintegration of CA United Power System (CAPS)
following the withdrawal of Turkmenistan (2003) and de facto departure from it by Uzbekistan
(2009). This resulted in Tajikistan being cut off the CAPS (2009).
4
Kazakhstan
Reserves
Oil 30 bn b
Natural Gas 2.4 tn cm
Coal 31.3 bn t
Hydro Power 20,000 M W
Kyrgyz R.
Uzbekistan Reserves
Oil 0.04 bn b
Reserves
Natural Gas 5.7 bn cm
Oil 594 mn b
Coal 0.9 bn t
Natural Gas 1.8 tn cm Hydro Power 26,000 MW
Coal 3.3 bn t
Hydro Power 1,700 MW
Turkmenistan
Reserves
Oil 600 mn b
Natural Gas 7.5 tn cm
Coal modest
Hydro Power modest
Tajikistan
Reserves
Oil 0.01 bn b
Natural Gas 5.7 bn cm
Coal 3.6 bn t
Hydro Power 40,000 MW
Source: http://www.casa-1000.org/MainPages/CASAAbout.php#objective and CIA. 5
The Naryn and the Amu Darya
rivers have potential to satisfy
abundant hydropower to Kyrgyz R.
and Tajikistan.
Dependency on transboundary
water is the highest in
Turkmenistan – 94%. Uzbekistan’s
dependency is 77% and
Kazakhstan’s is 42%.
6
Source: http://pubdocs.worldbank.org/en/83031452678633662/aral-sea-basin-large.pdf
Hydropower potential in the upstream countries of Tajikistan and Kyrgyz R. is significant.
Abundant hydropower can help meet all countries’ electricity needs on a seasonal basis.
7
Source: http://www.worldbank.org/content/dam/Worldbank/Brief/Europe%20and%20Central%20Asia/central-asia/CAS407531.pdf
Central Asian Power System
8
Source: http://www.geni.org/globalenergy/library/national_energy_grid/central-asia/graphics/central-asia-electricity-grid.gif
Central Asian Economies’ Profiles, 2016 (2014)
Fossil fuel energy consumption, % of total 99.17 69.30 54.90 n/a 97.74
Renewable energy consumption, % of total
1.36 28.25 40.71 0.04 2.87
final energy consumption
Alternative and nuclear energy, % of total
0.93 30.13 49.06 0 2.32
energy use
Combustible renewables and waste, % of total
0.03 0.08 0 0 0.01
energy
Energy use, kg of OE pc 4,434.40 650.40 335.39 4,893.49 1,419.48
Energy use , kg of OE per $1,000 GDP
188.01 204.42 131.70 341.43 280.12
(constant 2011 PPP)
GDP per unit of energy use, PPP $ per kg of
5.32 5.14 7.98 14.29 3.69
OE
GDP per unit of energy use, constant 2011
5.39 4.89 7.59 2.93 3.57
PPP $ per kg of OE
Energy intensity level of primary energy,
7.60 8.60 5.51 14.29 11.18
MJ/$2011 PPP GDP
Energy imports, net (% of energy use) -116.89 49.54 36.25 -191.51 -26.16
Source: WB Database. 9
Central Asian Economies’ Growth – Energy, average growth 1992(3)-2014(5), %
4 4.35
4.02
3 3.17
2.77
2
1.64
1
1.14
0.36 0.13
0
Kazakhstan Kyrgyz Republic -0.13
Tajikistan Turkmenistan -0.45
Uzbekistan
-1 -1.39
-1.57
-1.93
-2
Source: computed based on WB Database. 10
Trends in CAs’ Energy Profiles in 1990-2014
• Kazakhstan is the largest economy in terms of electricity output and total final energy consumption (TFEC),
followed by Uzbekistan and Turkmenistan. The latter demonstrated the most notable increase.
• Central Asian economies exhibit dissimilar shifts in the patterns of electricity output and TFEC.
Electricity output
o Kazakhstan recovered to its 1990 level in 2010 and in 2014 had a growth of around 20% against 1990.
o Kyrgyzstan’s electricity output had been fluctuating and in 2014 was still under its 1990 level.
o Tajikistan’s output did not experience much volatility, but yet remains under its 1990 level.
o Turkmenistan overcame its 1990 level in 2007 and by 2014 increased electricity output by 40% against its 1990 level.
o Uzbekistan experienced lowest electricity output in 1999, which was nearly 20% less than in 1990, but since then gradually
recovered and as of 2014 had output comparable to its 1990 level.
TFEC
o Based on WB data, in 2014 Kazakhstan’s TFEC was at around its 1996 level.
o Kyrgyzstan and Tajikistan had TFEC close to their levels back in 1993.
o Unlike other CA economies, Uzbekistan did not see significant fluctuations throughout 1990-2014.
11
Role of RE in Electricity Generation in Central Asia
12
RE in Central Asian Economies, 2014
Kyrgyz
Kazakhstan Tajikistan Turkmenistan Uzbekistan
Republic
Renewable energy
20,463.34 36,212.74 42,913.99 307.98 35,428.10
consumption, TJ
Tajikistan
40
30
Kyrgyz Republic
20
10
Uzbekistan
Kazakhstan
Turkmenistan
0
In CA, larger new installations were in large hydropower segment, although, according to IRENA 2018, costs of
solar and wind energy are decreasing most rapidly. While hydro power is still cheaper, time between financing
and commissioning small hydro project is 2.3 years, while for solar it is 0.5 year and for onshore wind 0.8
14 years.
Renewable Energy in CAs’ Energy Profiles in 1990-2014
• Renewable energy, hydropower, plays by far the decisive role in power generation and TFEC in
Tajikistan and Kyrgyzstan and contributed slightly over 20% to electricity production in
Uzbekistan.
• With hydro power included, Kazakhstan is much less relying on RE, while Turkmenistan
ascribes no role to RE. Without large HPP generation, Kazakhstan is most advanced for both
diversity of RE sources and scale of generation.
15
Share of RE in Electricity Output and Consumption, % 100
90 Kyrgyz R.
80
16
70
Kazakhstan
14 60
50
12
40
10 30
8 20
10
6
0
4
2
100
0
90
80
Tajikistan
Renewable electricity share of total electricity output (%) Renewable energy share of TFEC (%) 70
60
50
25
Uzbekistan 40
20 30
20
15
10
5
5 4 Turkmenistan
3
0
2
1
2013 27,832 4 18
Kazakhstan 2014 29,746 5 48
2015 33,369 166 474
2015/2013 20% 42 times 26 times
2013 47,178
Wind
• greatest potential - wind power: farms installed in Djungar Gates, Mangystau, Peak Karatau and Chu Ili Mts., projected installed capacity of 780 MW;
Solar
• under construction: Karaganda (100 MW), Burnoye – 2 (50 MW) (Burnoye – 1, 50 MW, completed in 2014);
Hydro
• the main hydropower resources are located in the eastern and southeastern regions: on the Irtysh river – Bukhtarma (675 MW), Ust-Kamenogorsk (332 MW) and Shulbinsk (702
MW); on the Ili river – Kapchagay (364 MW); on the Syrdarya river – Shardara (100 MW);
• the Moinak HPP (300 MW) is presently under construction. By 2020 it is planned to commission Kerbulak (50 MW), Bulak (68 MW) and number of smaller HPPs with a total
installed capacity of 56 MW (small-scale - with a capacity of up to 35 MW);
Biomass
• almost unused biomass waste; only one large-scale facility operates - Vostok Biogas (in Kostanai region), generation 3 GWh/y.
18
Kazakhstan
Renewable Energy Country Attractiveness Index (by EY), RECAI
• Law On Supporting the Use of Renewable Energy Sources (2013). FIT for 15 years
(2013-2028) for biomass, solar, wind, geothermal and hydropower up to 35 MW;
• energy saving programmes to reduce energy intensity of industry by 25% by 2020 vs.
2008;
• modernisation of existing power generation, power grids and oil refining installations.
19
Source: generated at World Energy Council.
Tajikistan RE Balance, 2015
• The terrain and climate are highly favourable to the development of hydropower. Tajikistan’s economically feasible potential for hydro power is
estimated to be 263.5 TWh/yr, of which only about 6% has been harnessed so far.
• Installed hydro capacity amounts to about 5,500 MW. The principal HPP is Nurek (3,000 MW), which produces approximately 11.2 bn kWh/y. The
fourth and last unit at the Sangtuda 1 plant on the river Vakhsh came into operation in 2009; together, the four units added 670 MW of capacity.
• An enormous hydro potential exists on the river Pyanj (the principal tributary of the Amu-Darya): 14 HPPs with an aggregate capacity of 18,720
MW can be built.
20
Tajikistan
RECAI
• Several mini and small plants, with a total capacity of 47 MW, were commissioned in
2010 and 2011.
• FIT based on the project’s costs, guaranteed for 15 years. Electricity produced from
wind, solar, geothermal, biomass and hydropower (up to 30 MW) plants are eligible
when plant operators receive approval from the government’s Antimonopoly Service.
• The Long-term Programme for Building Small Hydropower Plants 2009 – 2020
(construction of some 190 small HPP of total capacity 100 MW), the Target
Programme for the Widespread Use of Renewable Energy Sources and the Law on
the Use of Renewable Energy Sources (2010).
• State owned electricity company, Bargi Tajik, owns most electricity generation
capacity. Bargi Tajik will be restructured to become an independent regulator in the
electricity sector. Energy sector liberalization in combination with tariff policy reforms
will attract and increase private investment.
21
Source: generated at World Energy Council.
Kyrgyzstan RE Balance, 2015
Hydro
• In addition to Toktogul HPP (1,200 MW), Kambarata HPP 1 (1,860 MW);
• by 2020, Kambarata HPP 2 (120 MW);
• By 2025, Higher-Naryn cascade of HPPs (237.7 MW);
• by 2025-30, Kazarman cascade of HPPs (1,050 MW) and Susamyr-Kokemerens cascade of
HPPs (1,305 MW);
• tremendous potential for solar power plants, especially in the regions Kuli, Gasan and
Ashgabat, remains unattended over Turkmenistan’s abundance of natural gas;
• the electricity market is managed by state owned Turkmenenergo, which owns and
operates the grid, generates and distributes the electricity to the end consumers.
• there is no RE legislation; the National Strategy on Climate Change (2012) outlines the
long-term vision for promoting RE and low-emission.
• the government decided to create a National Climate Change Fund to finance climate
change mitigation and adaptation projects, including RE generation.
24
Uzbekistan RE Balance, 2015
Hydropower, 27 99 317 2 15
estimated
generation
capacity, Twh
27
Domestically Embedded Hurdles to RE Development
• exclusive role of SOE in electric power sector => private investment, foreign capital is highly
problematic;
• lack of comprehensive RE legislation & policies with, perhaps, one exclusion being
Kazakhstan;
28
International Cooperation for Strengthening Energy Security in CA
29
International Cooperation for Strengthening Energy Security in CA
EU
• INOGATE for 11 nations in EE, Caucasus and CA
• Investment Facility for Central Asia, IFCA
• Sustainable Energy Programme for Central Asia, CASEP
WB
• Central Asia Energy Water Development Program, CAEWDP
• support to CASA-1000 (2014-2020) - power sector interregional cooperation initiatives between Kyrgyz R. and
Tajikistan (CA) and Afghanistan and Pakistan (SA) under CASAREM (Central Asia South Asia Regional Electricity
Market)
ADB
• Central Asia Regional Economic Cooperation, CAREC
EBRD
• renewable energy projects in CA, especially in Kazakhstan
Eurasian Development Bank
• renewable energy projects in CA, especially in Kazakhstan
30
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